Tokyo, Beijing sign currency-swap deal

JAPAN - The Japanese government signed a currency-swap agreement with China on 28 March.

Under the agreement, signed by Bank of Japan Gov. Masaru Hayami and People's Bank of China Gov. Dai Xianglong, Tokyo will supply Beijing with yen in exchange for yuan if China's balance of payments deteriorates sharply. China will supply Japan with yuan for yen under similar circumstances. The loan ceiling is equivalent to $3 billion.

Japan and China have the two largest foreign-currency reserves in the wor

To continue reading...